Smrithi (Student) (44 Points)
23 June 2016Can one amortise the following expenses of a company engaged in the business of training undergraduate students:
Expenses like salaries for the development of content of training manual which will be used for many years
Expenses for developing technology for delivering and storing the contnet
Expenses for developing apps for students to access the content
mohammad rasool baig
(Management Consultant)
(1026 Points)
Replied 24 June 2016
The cost of all intangible assets developed internally should be charged to expense in the period incurred. If an intangible asset has a finite useful life, you should amortize it over that useful life. The amount to be amortized is its recorded cost, less any residual value.
CAclubindia
